THE BERMUDA MARKET
A pre-eminent financial centre for insurance and reinsurance products and a leading jurisdiction in the international investment fund industry, Bermuda is recognised for its sophisticated and adaptable legislative and enhanced regulatory framework, highly qualified professionals, established infrastructure, tax efficiency and an international reputation as a world-class financial centre.
As one of the world’s leading providers of property catastrophe reinsurance and home to many global reinsurers, Bermuda’s excellence in global risk management solutions continues to make the island a jurisdiction of choice for traditional insurance, alternative capital structures, ILS funds, collateralised reinsurance, sidecars and is the fastest growing domicile for cat bond issuance.
Bermuda is also home to a corporate and regulatory culture that has fostered exceptional innovation in all aspects of risk transfer along with a business friendly approach. Its industry-leading insurers and reinsurers stand ready to help the investor understand their market and the investment opportunities it provides, making Bermuda the preferred domicile for ILS structuring, support and alternative reinsurance capital.
Bermuda has been at the forefront of the global boom in ILS, with the Bermuda Stock Exchange (BSX) recording a record number of ILS listings in 2016 – 61 in total, with a capitalisation value of $6.2 billion. As of June 2017, there were 218 listings, taking the overall value of securities from $21.2 billion at year’s end to $24.5 billion half way through 2017. According to the Bermuda Monetary Authority (BMA), ILS issued from Bermuda represents 73.9% of total outstanding capacity at Q1-2017.